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Opportunity For Zim To Be Biggest Beneficiary Of Oil & Gas Exploration Project - Invictus

Opportunity For Zim To Be Biggest Beneficiary Of Oil & Gas Exploration Project - Invictus

The Zimbabwean government has the opportunity to be the largest shareholder and beneficiary of the Muzarabani gas and oil exploration project, Invictus has said.

In an interview with business publication newZWire, vice chairman of Invictus Energy, Joe Mutizwa, said:

My expectations are that there are 2 aspects to this. First, is we have just struck an agreement with the Sovereign Fund of Zimbabwe, which will be getting a 10% buy-in into the project, once we have done the appraisal and we are in the final investment decision stage. The Sovereign Wealth Fund, which is obviously the government of Zimbabwe, gets 10%.

But over and above that, production share agreement envisages that the Goverment of Zimbabwe in total will take at least 55 to 60% of the total value of the project. Whether that is in the form of product or in the form of revenues is for the Government of Zimbabwe to choose. So they will be by far the Major beneficiaries of whatever we find here.

Which I think is a fair deal, ok the investors have taken a risk and have invested, but the resource belongs to Zimbabwe. And the investment must percolate and sip through the entirity of Zimbabwean economy. This will have a major impact on the budget. This will have a major impact on foreign currency earning capacity. It will be transformative in terms of infrastructure. And one can go on. There’s tremendous downstream opportunities that can be exploited. So this is just the beginning.

Invictus has said it will start exploration drilling for oil and gas in early September.

Zimbabwe passed the Sovereign Wealth Fund of Zimbabwe Act law in November 2014 and then set up the Sovereign Wealth Fund (SWF) itself in 2015. In 2020, the government announced that it had set aside US $100 million for the SWF. Generally, it get its funds from balance of payment surpluses, official foreign currency operations, the proceeds of privatisation, government transfer payment, a fiscal surplus and natural resource earnings.

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jz 1 month ago

itai kuti zviite chatinoda kuenda mberi kwamurikugadzira,,,otherwise nyika inganaka bcz maexpenses ekutenga kunze anenge avamashoma,,,imwe mari motipawo

Kule Dhambi 1 month ago

diamond rakazvi konewa izvi nekuda kwe musangano saka oyiri ndiyo ingaita shura ripi kana musangano iwoyo uchipo?

Mukorokoza 1 month ago

Wells 3.5 to 4 km deep. Saka Isu ma Artisan miners hatina kana door.

Gwedu 1 month ago

Don't play around with policies, we need transparency here and the implementation of policies!!

Ak47 1 month ago

As long as government is involved ZANU PF is also involved and corruption is their tools so hapana chinobuda zvekuti nyika isimukire kangamwai vanenge vave kungofunga kuisa muhomwe dzavo . When green feul in Chisumbanje was starting its project we were promised that petro feul will be cheapest in Zim in Africa because it will be bladed but still it is most expensive in Africa. Totenda maruva tadya chakata / Totenda yavira hari yedemhe / Totenda dzamwa dzaswera nebenzi

sziva 1 month ago

zvakanaka chose nyika inovakwa never vayo.

P****i 1 month ago



Nzukwa 1 month ago

Mugabe did not want foreign investors thinking that they will plunder our resources, that is why for 42 years we are sitting on billions and trillions resources while the average person achidya noko dzezvironda, when the new dispensation came it changed all this, look at the giant iron and steel plant in Mvuma, then you will in understand that there shall be no poor Zimbo.

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